DeFi Protocol Hedgey Finance Hacked for Millions on Ethereum and Arbitrum Blockchains

The world of decentralized finance (DeFi) has once again been rocked by a major hack, this time targeting the Hedgey Finance protocol. Cybersecurity firm Cyvers has reported that hackers managed to breach the platform, making off with a staggering $1.9 million in funds converted to the stablecoin Dai.

The attack on Hedgey Finance’s Token Claim Contract has left users reeling, with the platform urging individuals to cancel any active claims to prevent further losses. The team behind Hedgey Finance is working tirelessly to understand the extent of the breach and prevent any ongoing attacks.

However, the situation may be even more dire than initially reported. On-chain analyst Colin Wu has revealed that the total loss suffered by Hedgey Finance could be as high as $44 million, with the protocol falling victim to attacks on both the Ethereum and Arbitrum blockchains.

As the investigation into the breach continues, the DeFi community is once again reminded of the risks associated with this rapidly evolving sector. Investors are urged to exercise caution and conduct thorough due diligence before engaging in high-risk investments in cryptocurrencies and digital assets.

The Daily Hodl will continue to monitor this developing story and provide updates as more information becomes available. Subscribe to our email alerts to stay informed on the latest news in the world of crypto.